New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-04-06
THE COMPACT DISSOLVED.
UNDERWRITERS ASSOCIATION BROKEN.
WITHDRAWAL OF THE WILLIAMSBURG COMPANY

WITHDRAWAL OF THE WILLIAMSBURG COMPANY
WHAT INSURANCE MEN SAY.
At the meeting OF the Metropolitan Association Of Fire
Underwriters No. lis Broadway, yesterday letter wal
received from Edmund briggs president OF the Williams
burg City Fire Insurance Company, In which he gave
notice that his company had severed Its connection with
the association. Part Of the letter was this:
We cannot retain membership and honoraby compete
entity disregard both the latter and spirit Of the compact and
whdrawa nnSes sscticn &c. o. the compact
yon win call upon NJ at FOUR early we w
fail to be satisfactory.
The Metropolitan Association was organized on October
IL. last year. 1t represented about 160 fire insurance
companies doing business in NewYork Brooklyn and the
neghborng cities The object was to receive fair rate
on insurance risks In the city and by the terms OF the
compact the withdrawal Of one company released all
others from further obligations to tho association or from
any further expense In connection with It.
There was largo attendance at the meeting and the
letter Of President briggs produced q marked effect
II was warmly discussed and those present admit
ted this action dissolved the association The Executive
Committee which includes f. +. Beda, George NJ. Colt
william De L. Boughton. p b. Armstrong. James A. Sill
vey and West Pollock instructed to send notices to
all companies connected with the association Of the with
drawal OF the Williamsburg Company. II was decided to
hold special meeting Of the New York Tariff Association
today the 1.-THE New York Board OF Fire Under
should he invited and effort made to organize new
association on different basis This call was issued yes
terday The New-York Tariff Association existed before
the formation Of the Metropolitan Association OF Fire
Underwriters and 1t said yesterday that 1t prob
able that organization would be formed
The position taken by the Williamsburg Company pro
voked criticism. 1t called unjushabe and
was characterized as mistake. Said one insurance
man:
Tho secretary tho williamsburg City Fire Insurance
was s s the ~ nn
pose tho and to that no company was unfairly
n @ s &c
Now the effect OF the association has been TO restore cont
Sssyors ana ref S%si tns.sn.%
since the COMPACT WAS made ousd. companies
Of a fair competition.
Another interested in insurance affairs said:
making this combination there was no Intention Of com
to rsdSoe the cost Of to its lowest point and
organize system by which ench policy holder interested IN
has Done value
anything WIN be better than return to
the former cutthroa methods that destroy all business
T. b. Nuttng. IT, who Of the Insurance brokers
who did 60 the combination and not pledged
10 tho rates decided upon by those who controlled the
Metropolitan Association. said 10 TRIBUNE reporter:
panv acc riding 10 the rules Of compact d-oyes
on VITA oy TAN" When 'ri The oosa
ssSS1 be
companies in New.York. But 1t finally accom-
pshed about l57 companies wont into the associatou
The large companies were glad to go into the eombnaon
for could then control easily the business OF tho
city. IL with the smaller companies that the
m benefited by an of that kind wa, hard
work them 10 In They however forced TO
Join by the fact that they stayed ont the combination would
take away their business by underwriting In The rates Tho
diversity OF business done by fire insurance companies made
association of that Kind impracticabe Tho solicitors en-
poyed the companies cut down 10 three only when
OF them employed great more and one company
had as many 1873
brokers' according 10 the rules OF the compact
wgTe 10
rebate would their income 10 he allowed
withdrawal OF the William sburg Company
was doubt tho president states in his letter that
the could retain Its membership and honOraby
for share OF business with other members Who
rules Of the compact Insurance COM
their competitors for business secret
making rates not 10 the spirit OF the compact Their
business that had 10 them through legitimate
leaving them and they found that other companies,
filing up their counters VIII policies Firms too nave
restlc the Of imposed thom
for clerical and glad that the withdrawal OF
company broken the compact don't think the cnor
brin tho companies into line AGAIN viii succeed There
will widest kind competition and each nrm VIII
endcavor to Out-cut the others